Lafarge Africa reveals plans for housing in Nigeria
Lafarge Africa Plc has revealed plans to construct studio apartments suited to the budget of low income earners in Nigeria. The 25-m2 apartments comprise one bedroom, kitchen and bathroom and will be sold for N1.5 million ($7,538).
Lafarge Africa’s Head, Affordable Housing & Buildings, Jumoke Adegunle, said the company is promoting mass housing technology as a result of the deficiency in housing provision in Nigeria.
Lafarge has already begun constructing 500 housing units in the Gwagwalada area of the Federal Capital Territory, Abuja.
Although Lafarge did not give construction figures for the project, in a similar move, Eastern African-based private equity firm, Phatisa constructed 1,400 studio apartment units for students and young professionals in Nairobi, Kenya for a reported Sh3.8 billion ($41.95m).
Despite Lafarge’s determination to make real estate affordable for Nigerian low income earners, the odds may be against the company due to the fact that the average low income earner may find it difficult to purchase the properties.
Lafarge’s building technology may just be what the country needs, as cities are experiencing huge population growth. In 2010, Lagos state had a population of 17.5 million, by 2014 it had increased to 21 million. Ibimulua Festus and Ibitoye Amos quoted a study claiming that given an annual population increment of 2.8%, all other factors being equal, over 62% will be living in urban centre’s in Nigeria by 2020.